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Genesis:
About 20 minutes Pete.

During which I must "attend" the unit only for the last five or so
So what do you think OSHA thinks of your business plan??? At $16/hr ($8 for the employee, and $8 for taxes, insurance and the like) your twenty minute fill is costing the owner $5.33 PLUS all the rest of the expenses???
 
Actually Karl,

I think we will see more shops go under as we refuse to "cover a business's poor decisions" and we will HAVE to go your route. You are definitely a trend setter in this regard.
 
Actually most of the shops in this area do have the smaller compressors with banks. They still have a 5-6 year breakeven point on a piece of equipment (after operating costs, filters, bank tanks, etc...) that will begin to incur increasing maintance costs throughout that time. There is no way to make it profitable a $5 a fill.

Chad
 
chrpai:
Why do you want to count the cost of the overhead of the employees but not bill the value of the class fills towards the income from the classes? Seems to me if they didn't have those fills there wouldn't be any classes.Chad

Charlie, are you going to answer my question?
 
chrpai:
Charlie, are you going to answer my question?

Check out post #216
 
I disagree with your allocation strategy.

If you exclude a large number of your fills from the total number of fills, then take that number and divide it into the ownership cost of the asset, of course your going to exxagerate the cost per fill.

Each fill has value, weather directly billed to a customer or indirectly billed to a class. You must include all revenue, direct and indirect when determining gross monthly revenue and cost per fill.
 
NetDoc:
So what do you think OSHA thinks of your business plan??? At $16/hr ($8 for the employee, and $8 for taxes, insurance and the like) your twenty minute fill is costing the owner $5.33 PLUS all the rest of the expenses???

Pete, I think that your straw men are offensive.

First off, as I've pointed out TWICE in this thread (and you've intentionally ignored), along with in the referenced post, there are technological solutions to that problem that don't require ANYONE to attend the tank other than to hook it up and disconnect it. The TASCOM regulators are but one possible solution to that problem. Before you tell me that OSHA disallows that arrangement, you better check with them - such devices are perfectly permissible in filling various bottles; if they weren't then every scuba shop using a pressure switch to shut off their compressor while refilling their banks would be in violation, and so would every gas supplier - since they all use them too.

Second, that $16/hour you posit (which is grossly high given what I've seen paid around here and in most other places) is the same for ONE or for EIGHT tanks. Indeed, the number of tanks that can be filled at once is only limited by the way the panel and storage is configured. Again, a shop-owner's CHOICE; if they want to fill serially, they can. And indeed, I've yet to see a filling station where the operator NEVER departs the tank during the process.

Third, as I've pointed out, if a small shop was to buy one of these units, they'd be wise to invest in a couple of bank tanks. As I've also pointed out, the 4500 psi versions are pretty cheap, and the Alkin can fill them to capacity without overheating. Once the bank tanks are filled, of course, you can fast-fill to your hearts content - even if you are hosing your customers by doing it (you DO know that PSI recommends no more than 600 psi/minute fill rates, right?)

Of course setting up a small (that is, low-volume) shop's air system intelligently, instead of just buying the $20,000 worth of "stuff" the compressor salesman wants to sell you, requires using a brain.

The compressor salesman's recommendations are good for the guy who's pumping a lot of gas.

Tell me Pete - if my number are so far off, as you allege, how come Fill Express, which sells mostly fills, manages to sell gas at prices that looks suspiciously like my cost + a roughly 20% mark-up - and they're still in business?

I further find it extremely offensive that the very same persons who crow about "life support" equipment as their argument against divers being self-sufficient (e.g. as their excuse to refuse to sell repair parts) also expect us to pay for their lack of intelligence in their purchasing decisions, and then cry when called on it!

You can't have this both ways Pete - either the buyer is intelligent and has a basis for his crowing on the other related issues, or he's not intelligent and now wants his customers to pay for his poor business decisions.

What this argument really comes down to is that for any group of four or more divers who collectively make 100 dives or more a year they'd be well-served to consider buying their OWN compressor between the four of them, unless they have a Fill Express-like shop near them that will cut the BS and stop calling their gas sales a "loss leader" - because it isn't.

If they're not pumping Nitrox then all they need is the base unit - $2500 - it even comes with a dual-orifice whip (will fill both K and DIN valves, with bleed) from the factory.

Then your previous polemic about buying your airfills over the internet can be dispelled as well.
 
I am sorry you disagree but generally the retail staff does not prepare the equipment for the classes it is the instructor the has already been paid on a per student basis that does that. The retail staff would only be paid to handle the retail customers that are coming in for fills so that is the only cost that could be allocated to the price of fills.

If the shop had the compressor that they didn't use for retail purposes but only for classes they would reduce the cost in amount of filters needed the employee costs etc and it would make them more economical to operate.

Chad
 
My compressor is a Bauer Capitano and only pumps about 5 cfm. The compressor alone was about $5000 but it has some controls auto dumps and automatic overpressure shut off, oil pressure shut off (adequate oil pressure must be reached in so many seconds of it shuts down) and a good filter system.
The rest was all the stuff for a bank system and stuff.

However the economics of pumping air at an inland dive shop are different that a place in florida where they pump all day. This is all VERY low volume. There's no way that any shop around here can even justify having a compressor based on air sales. You fill a few tanks on fridays during the summer and that's about it. You have to have it to teach and for the manufacturers to call you a dive shop and be willing to sell stuff to you.
 
I know Mike.

My point is that for a shop like your former one, with its expected volume, an Alkin W31 and a handful of bank tanks would have done the job, and cost under $5,000, with everything - including automatic unloaders. I've already got the parts list figured out to add them to my unit, and will likely re-engineer my fillstation this spring or summer and put them in along with a couple of bank tanks. It'll make the system a "push a button to refill bank", rather than what it is now - filling one tank at a time.

The only reason I haven't done it thus far is that I'm not pumping enough volume for it to be worth it (sound familiar?) When I am, I will. And I bet that in the summertime I fill as many tanks (for myself) on a given weekend as you probably were in your inland shop for customers :D

The compressor salesmen love their units. $1000 for a magnetic starter? What are they smoking? Grainger sells magnetic motor starters for under $200, in an NEMA-3R (rainproof!) enclosure. So Bauer thinks theirs is worth 5x as much? Ok..... I don't. I've seen inside theirs, and their switchgear are the same as the ones Grainger sells. I've seen the pricing on the unloader kits too - and I've also looked into building them. The compressor guys are overcharging - grossly so - for them too.

Its like buying a 20kw genset on a boat that only has 4kw of load. You'll pay 3x as much money as you need to and probably damage the set besides, as it will never come up to full operating temperature and load. Then, when it dies at 20% of its expected lifetime hours, you'll be upset.

But the problem was yours - you bought the wrong thing in the first place - and its excessive cost of operation was not due to anything inherent, but rather because it was improperly specified, installed and operated.
 
https://www.shearwater.com/products/teric/

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